Local costs and environmental guidelines are examples of issues that were topical in the international forums in which EKN participates.

The international contexts in which EKN regularly participates in meetings are mainly the OECD, the EU, the Berne Union and the Paris Club. There is also Nordic cooperation.

Revised environmental guidelines

In June 2007, the OECD countries adopted a recommendation about stronger joint environmental guidelines for export credit agencies, namely the OECD Recommendation on Common Approaches on the Environment and Officially supported Export Credits.

The new guidelines mean, among other things, that a larger number of international environmental and social standards must be complied with, that a larger range of transactions must be subject to environmental review, and there must be greater transparency about environmental aspects in transactions. The exchange of information and experience between countries is being strengthened, in the form of a network of experts on the environment. EKN has implemented the revised OECD recommendation.

The OECD working group for export credits and guarantees will conduct a survey in order to follow up how the new guidelines have been incorporated into the various export credit agencies’ policies and procedures. The annual summary of the transactions that have been subject to environmental review will also be implemented.

Larger proportion of local costs

The issue of support for local costs in the purchasing country has been discussed within the OECD for many years. The background to this is that these days many export transactions include a growing proportion of goods and services produced in the purchasing country. There is therefore a need for greater flexibility in including such costs in the guarantee cover. In 2007, the OECD were able to agree on an increase in the permitted proportion. An export credit agency can now support local costs of up to 30% of the value of the export contract, compared to the previous 15%. This rather cautious increase is the result of a compromise, and applies during a three-year trial period, meaning until the end of year 2010.

Berne Union to discuss mandate issues

In the Berne Union, an international association of credit and investment insurers, the mandate of the export credit agencies is a key issue. There is a trend going back some years among Government institutions to seek a more flexible and wide-ranging framework for their activities. This ambition is an adaptation to changing corporate structures, production and trade patterns as a consequence of globalisation and the development of financing techniques. The export industry has needs that require the task to be redefined. Previously it was all about promoting national exports; now it is to promote the national interest.

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